Election Law Enforcement Commission E EC L 1973 Newsletter ELECtronic AN ELECTION LAW ENFORCEMENT COMMISSION NEWSLETTER “Furthering the Interest of an Informed Citizenry” Comments from the Incumbent Governor Phil Murphy and The Gubernatorial Public Financing Chairman his Republican opponent, former Program has remained viable through Assemblyman Jack Ciattarelli, have the years in part because in 1989 the Eric H. Jaso already submitted applications to Legislature required the various financial participate in the program for the thresholds and limits to be adjusted for “Freedom is hammered out on general election. inflation every four years. Without the anvil of discussion, dissent these adjustments this important and debate.” – Hubert H. Independent candidates have until program could easily have become rd Humphrey September 3 to qualify for matching outdated and its goal of keeping general-election funds. gubernatorial elections free of undue Later this month, the Commission will influence incomplete. select media sponsors for the To be eligible to receive two public gubernatorial general-election debates. dollars for every one dollar raised in New Jersey’s Gubernatorial Public private dollars, a candidate must raise Financing Program has represented a Choosing debate sponsors is one of and commit to spend $490,000 by the high-water mark for the State. Since its ELEC’s most important responsibilities, September 3rd deadline. inception, every person elected to the as the debates enable voters to hear and governorship, except one, has qualified consider the positions of those Any candidate who receives public and participated in the program. Only candidates for Governor who receive funds, and any candidate whose former Governor Jon Corzine, whose public matching campaign funds. opponent receives public funds, must campaigns were self-financed, did not participate in two debates. Further, participate in either 2005 or 2009. New Jersey’s Gubernatorial Public their respective running mates for Financing Program, the first to be Lieutenant Governor must participate in The quadrennial gubernatorial debates established in the nation, continues to a separate debate. are an essential component of the be a national model. With the general program’s success. ELEC’s role in election in November, ELEC will play an The twin goals of the program are to selecting the media sponsors helps important role as it distributes public allow qualified candidates of limited ensure that the public is well-informed matching funds to qualified candidates. means to run for Governor and to about the candidates and their positions As a condition of their participation in eliminate undue influence from the on the important issues facing the State the matching-fund program, ELEC process. The Commission added a third before any voter enters the polling requires the candidates to participate in goal, though unofficial: to protect the place. two interactive debates. integrity of the program by distributing public dollars responsibly. IN THIS ISSUE COMMISSIONERS Comments from the Chairman P. 1 Eric H. Jaso, Chairman Executive Director’s Thoughts P. 2 Stephen M. Holden, Commissioner ELEC Horal History Project P. 3 Marguerite T. Simon, Commissioner New Jersey Federal Judge Upholds Ban on Direct Bank Contributions to Candidates P. 4 Bigger Percentage of Legislative Candidates Filed PFD Forms in 2021 than in 2019 P. 5 Edwin R. Matthews, Legal Counsel Late Wave of Independent Spending Drives Up Spending in Competitive Districts P. 7 Reporting Lag May Be Depressing County Party Receipts P. 9 Primary Spending by Gubernatorial Candidates Tops $14 Million P. 12 ELEC-Tronic Newsletter Issue 145 Page 2 Executive Director’s play contribution restrictions on public prevent “wheeling,” or the Thoughts contractors. circumvention of contribution limits by Jeff Brindle wealthy donors who could spread Importantly, one bill sponsored by money around to various county party Roberts provided an extra organizations. 2004 Reform Package appropriation of $2 million for ELEC, Had Big Impact on raising the Commission’s budget Instead, the ban may have contributed Campaign Finance slightly to more than $5 million for the to the demise of the party system in first time. New Jersey by making fund-raising and Lobbying Laws even more difficult. That, in turn, has but One Reform Might The increase in the Commission’s enabled independent, dark money Now be budget enabled the Commission to groups to fill the void by expanding carry out its new responsibilities and their influence over the state’s Unconstitutional allowed for ELEC to continue as one of elections. Reprinted from insidernj.com the top agencies of its kind in the nation. Perhaps most importantly, the curb on From time-to-time, reform movements transfers between county parties may have taken hold in New Jersey as they It also helped fortify the agency against well be unconstitutional. have in many jurisdictions of a number of lean state budgetary years democratic persuasion. that included some cuts. It took 15 In Missouri Ethics Commission, et al., v. years before the Commission’s budget Free and Fair Elections Fund (2018), the One such time happened in 2004, again exceeded $5 million. Despite Eight Circuit Court of Appeals found when a package of 22 bills, referred to having a flat budget for more than a unconstitutional a Missouri law that as “Restoring the Public Trust,” passed decade, the Commission showed that it banned transfers between political the Legislature and was signed into law could continue to be successful during actions committees (PACs). by then-Governor Jim McGreevey. tough times. In New Jersey, county parties are A key architect of the reform package The reform package overall led to similar to PACs since they are ongoing was then-Assembly Majority Leader many improvements in campaign fund-raising committees that report on Joe Roberts, who will be featured in an finance and lobbying laws. However, a quarterly basis. interview on ELEC’s website next one reform that in 2004 seemed In its ruling, the Eight Circuit Court month. The interview is part of the necessary and worthwhile may in noted: Commission’s “Oral History of the retrospect be counter-productive and Commission Project.” even unconstitutional. “The (Missouri Ethics) Commission asserts that additional disclosure Soon after he shepherded the reform Such is the case with a provision in the requirements would not help package into law, Roberts, a Democrat anti-pay-to-play bill that banned inter- the public to track the source of th who represented the 5 Legislative party transfers of money between donations that are commingled with District (Camden County), became county political parties between the rest of a PAC’s funds and shuttled Assembly Speaker. He retired from the January 1 and June 30 of each year. through a series of other PACs before Legislature in January 2010 after This effectively banned county reaching a candidate. But even serving nearly 23 years in the organizations from donating to each assuming the Commission is correct Assembly. other during the primary. about the difficulty of tracking funds, the argument is self-defeating: If Included among the reform initiatives When the ban went into law, it may disclosure laws will not help the public was the 2005 Clean Elections Pilot have made some sense. From the discern who gave money to whom, project, several amendments to the standpoint of good government then we are hard pressed to see how a state lobbying law, including grassroots reformers, this prohibition might help candidate would identify an original lobbying disclosure, and tight pay-to- ELEC-Tronic Newsletter Issue 145 Page 3 donor to create a risk of quid pro If it is unconstitutional to restrict PAC- ELEC Oral History quo corruption.” to-PAC transfers, whether made to PACs that contribute to candidates or Project The Eighth Circuit had upheld an earlier spend independently, why is it not decision by the United States District unconstitutional to restrict county As announced previously, the New Court for the Western District of party-to-county party donations? Jersey Election Law Enforcement Missouri-Jefferson City, which found Commission (ELEC) is undertaking a the law “unconstitutional on its face Is there a greater risk of quid pro quo new project entitled “An Oral History of under the First Amendment and corruption when a county political the Commission.” unconstitutional as applied to Free and party, which is more accountable Fair Elections.” under the law than a special interest Jeff Brindle, Executive Director of ELEC, PAC or independent group, gives to a said: “The project involves an ongoing In response to the lower court sister party than when a PAC gives to series of interviews with individuals decisions, the State of Missouri asked another PAC? who have had a significant impact on the U.S. Supreme Court to review the the Commission or its statutory question of whether the Missouri law In today’s post-Citizens United world, responsibilities through the years.” banning contributions between PACs wealthy donors can easily spread was a violation of the First money around among independent Brindle said the series will include Amendment. groups, which face no contribution current and past commissioners, limits, few restrictions other than to executive directors, governmental At least one other circuit, the not coordinate with candidates or officials, and reformers who have made 11th district in 2016, has upheld PAC- parties,